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Telangana Adopts Hybrid Annuity Model to Fast-Track Road Development
The Telangana government is set to implement the Hybrid Annuity Model (HAM) to accelerate its ambitious road infrastructure development plans.
Hyderabad: The Telangana government is set to implement the Hybrid Annuity Model (HAM) to accelerate its ambitious road infrastructure development plans. This approach, which blends public and private funding, aims to enhance efficiency in project execution while ensuring optimal utilisation of resources.
Under the HAM structure, the state government will finance 40% of the project cost, while the remaining 60% will be covered by private developers. This model is expected to attract significant private investment and reduce financial strain on the state exchequer.
During the budget presentation, the Finance Minister announced that Telangana aims to develop 17,000 kilometres of rural roads by 2028, with an estimated investment of ₹28,000 crore. The initiative is expected to improve connectivity in remote areas, facilitating economic growth and enhancing access to essential services for rural communities.
The adoption of HAM aligns with the state’s broader vision of leveraging public-private partnerships for infrastructure expansion. Experts believe this approach will not only ensure faster project completion but also maintain high construction standards, ultimately transforming Telangana’s road network in the coming years.
